What’s The Whole Truth? India’s Clean Label D2C Brands Vs FSSAI

by · Inc42

SUMMARY

  • FSSAI has served notices to at least 20 new-age, D2C clean label food brands since May 2026 over claims about added sugar, natural and organic ingredients
  • These are startups that raised significant venture funding on the promise of "clean," health-focused eating, sold largely through ecommerce marketplaces and lately quick commerce
  • The quick commerce boom in the past two years has enabled these brands to scale faster and get more exposure, but it has also increased scrutiny from regulators.
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India is in the middle of its biggest food-regulation crackdown in years, and the Supreme Court has now weighed in. 

During a hearing on September 10, the apex court intervened on what a mandatory front-of-pack warning label should look like. It told the Food Safety and Standards Authority of India (FSSAI) that its proposed red hexagon symbol for packaged foods high in sugar, salt or saturated fat was broadly acceptable in principle, but that several important details were still unclear.

The bench said it was “concerned with the health of people, more particularly growing children”. It directed FSSAI to file a response affidavit within 10 days, addressing everything from the scientific basis for its thresholds to the size of the hexagon relative to the pack and whether a red symbol risks being confused with the marker quick commerce apps already use for non-vegetarian food.

The case is set to be heard on September 28 again, which could likely be a consequential call for packaged food companies, D2C brands especially.